Merkel hails Opel deal

General Motors will sell its Opel unit and other European assets to Canada’s Magna International Inc in a deal German Chancellor Angela Merkel said today would protect the assets from GM’s likely bankruptcy.

The German government, GM and Magna International agreed early today to a plan for the Canadian auto parts maker to acquire Opel with €1.5bn in bridge loans from Germany, while contributing €300m to keep Opel running in the short term, Finance Minister Peer Steinbrueck told reporters.